10 Feb 2022
Disney Surges amid Streaming Soar and Mounting Theme Park Visitors
The Index Today
Disney’s stocks soared by 6.7% during Thursday’s premarket trading session, helped by its recent favorable fourth quarter reports which revealed flourishing business in the form of its expanding streaming services’ subscriber base as more number of people flock to its theme parks with abating pandemic fears.
Disney outperformed Netflix in the first quarter itself after 11.8 million people joined its streaming service, Disney+. Data from January 1st, 2022, show that Disney+ has a subscriber base of about 130 million compared to Netflix’s approximately 222 million.
This comes after Disney faced functional losses of 27% while also falling by an additional 13% with ESPN and ABC due to mounting programming costs.
However, Disney’s income from its theme parks successfully managed to counterbalance these losses with earnings doubling to $7.2 billion during a period when it was open to the public without any COVID-19 protocols.
So far, Disney has exceeded expectations with an overall income increase by 34% to $22 billion.